CNOOC inks deal with Altona to develop coal resource

Published: 22 Nov 2009 22:45:58 PST

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Nov. 23, 2009 (China Knowledge) - China's largest offshore oil company, China National Offshore Oil Corp, signed an agreement with Australia-based energy firm Altona Energy Plc to establish a joint venture to develop Altona's project at Arckaringa in South Australia, sources reported.

The Australia-listed Altona said in a statement that the JV with CNOOC would be responsible for evaluating and developing the 7.8 billion-ton coal resource.

Pursuant to the agreement, a unit of CNOOC will fund a bankable feasibility study for a coal mine and will also act as an operator to carry out the evaluation work in return for a 51% stake in Alona's Australian unit's exploration licenses.

CNOOC earlier this month bought an interest in oil filed leases in U.S. waters in the Gulf of Mexico from Norwegian oil company Statoil ASA, China Knowledge reported.